Supply chain of Loreal

With this, the founder of the group forged the first link in what is still the DNA of L’Oréal: research and innovation in the service of beauty... These are the formative years of “Le

1909-1956 : THE FIRST STEPS,

CONSTRUCTING A MODEL

In 1909 , Eugène Schueller, a young chemist with an entrepreneurial spirit, founded the company that was to become the L’Oréal group It all began with one of the first hair dyes that he formulated, manufactured and sold to Parisian hairdressers With this, the founder of the group forged the first link

in what is still the DNA of L’Oréal: research and innovation in the service of

beauty

These are the formative years of “Le Grand L’Oréal”.

At the instigation of Chairman François Dalle, the Group starts to expand internationally

Acquisitions of strategic brands mark the beginning of a period of spectacular growth for the company Emblematic products come into being

The company motto is “Savoir saisir ce qui commence” (seize new opportunities)

GRAND L'ORÉAL

● These are the formative years of “Le Grand L’Oréal”

● At the instigation of Chairman François Dalle, the Group starts to expand internationally

● Acquisitions of strategic brands mark the beginning of a period of

spectacular growth for the company Emblematic products come into being

● The company motto is “Savoir saisir ce qui commence” (seize new

opportunities)

1984-2000 BECOME NUMBER ONE IN THE BEAUTY INDUSTRY

These twelve years are marked by a great period of growth for L'Oréal, mainly driven

by the significant investments made by the

group in the field of research.

2001 - PRESENT

DAY DIVERSITY OF BEAUTY WORLDWIDE

There is no single type of beauty; it is a multiple-faceted quality framed by different ethnic origins, aspirations, and expectations that reflect the world’s intrinsic diversity With a portfolio of powerful, international brands, L’Oréal enters the 21st century by embracing diversity in its global growth agenda

Profes sional Produ cts

Activ

e Cosm etics

T h

e B o d

y S h o p

Luxury Products distributed through mass-market channels,

including hypermarkets, supermarkets and

Profes sional Produ cts

Activ

e Cosm etics

T h

e B o d

y S h o p

Luxury Products distributed through mass-market channels,

including hypermarkets, supermarkets and

Profes sional Produ cts

Activ

e Cosm etics

T h

e B o d

y S h o p

Luxury Products distributed through mass-market channels,

including hypermarkets, supermarkets and

Profes sional Produ cts

Activ

e Cosm etics

T h

e B o d

y S h o p

Luxury Products distributed through mass-market channels,

including hypermarkets, supermarkets and

Profes sional Produ cts

Activ

e Cosm etics

T h

e B o d

y S h o p

Luxury Products distributed through mass-market channels,

including hypermarkets, supermarkets and

Prof essi onal Prod ucts

Activ

e Cosm etics

Th

e Bo

dy Sh op

Luxury Products distributed through mass-market channels,

including hypermarkets, supermarkets and

drug stores

distributed through hair salons

distributed through pharmacies and dermatologists

SUPPLY

CHAIN

Customer-centric Supply Chain

LONG-TERM MISSION (2013-2020)

Offering all women and men worldwide the best of cosmetics

innovation

RESEARCH FACILITIES AROUND THE WORLD

STRATEGY- UNIVERSALISATION

Six regional hubs: Japan, China, India, USA, Brazil and

South Africa and 500,000 delivery points

These regional hubsidentify the needs of consumers and their cosmetic practices of each region.

“ THINK GLOBALLY, ACT LOCALLY”

Over 50 plants spread all over the world, equipped with the very latest technologies and advances in automation

DIGITAL REVOLUTION

The Strategy of Operations 4.0- 3D Printing

For L’Oreal 3D printing improves flexibility

3D-printing enabled a reduction in cycle time

In 2017, L’Oréal continued to expand its digital leadership in all areas: e-commerce, marketing, social networks and cosmetics technologies

Technology in the beauty experience

“Beauty companions”

MASS PRODUCTION - Operational excellence

Robotics technologies, automation and cobotics (collaborative robots)

High-productivity plants for large-scale production

Operational excellence award

Fast-changing omni-channel logistics strategy

Optimum conditions at the right time and at the best cost.

RFID

Innovating sustainably

By 2020, 100% of L’Oréal’s products will have an improved environmental or social profile.

Reduction of the environmental footprint of formulas

Respect for biodiversity via a sustainable and responsible sourcing policy for raw materials

Producing

sustainably

REDUCING CO2 EMISSIONS

REDUCING WASTE

REDUCING WATER CONSUMPTION

L’Oréal has set the target for

2020 of reducing the

environmental footprint of its

plants and distribution centres

by 60% from a 2005 baseline

Living sustainably

L’Oréal aims to empower its consumers to make sustainable choices.

Evaluating the footprint of each brand

RAISING CONSUMER AWARENESS OF SUSTAINABLE CONSUMPTION

Developing

sustainably

PROMOTING ACCESS TO EMPLOYMENT AND SOCIAL INCLUSION

JOINING FORCES WITH SUPPLIERS TO MEET THE GROUP’S COMMITMENTS

Sharing its growth with its

internal and external

stakeholders is a priority

for L’Oréal.

PUTTING EMPLOYEES AT THE CENTRE OF COMMITMENTS

L’Oreal Thailand’s green distribution centre

“Goods-to-person”: automated distribution centres

OPERATING PROFIT BY OPERATIONAL DIVISION:

CONSOLIDATED NET SALES BY GEOGRAPHIC ZONE

COMPARED CONSOLIDATED INCOME STATEMENTS

COMPARED CONSOLIDATED BALANCE SHEETS

ASSETS

COMPARED CONSOLIDATED BALANCE SHEETS

EQUITY & LIABILITIES

COMPARED CONSOLIDATED BALANCE SHEETS

EQUITY & LIABILITIES

COMPARED CONSOLIDATED STATEMENTS OF CASH FLOWS

In the mid-2007 , L'Oréal Group decided to open its branch in Vietnam

Mission: To become the leading cosmetics company in Vietnam and one of the typical enterprises of the 21st century

PROJECTS: 1) BEAUTIFY TO LIVE - LIVE TO BEAUTIFY

2) SCIENCE RESEARCH SCHOLARSHIP - L 'OREAL FOR THE DEVELOPMENT OF WOMEN IN SCIENCE3) L'OREAL CITIZEN DAY

Structure of 4 main commodities: